Tax Perception and Sample Selection Bias: Microeconometrics

1
Amaresh Das
Amaresh Das
2
Adnan Omar
Adnan Omar
1 University of New Orleans

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This paper econometrically compares the perceived marginal tax rates and the actually computed marginal tax rates and tries to find out if consumers could accurately perceive the marginal tax rates. Econometrically, the paper highlights that sample selectivity operates through unobservable elements and their correlation with unobservables influencing the variable of primary interest. Sample selection bias will not arise purely because of difference in observable characteristics. Although our paper is illustrative, it highlights the generality of the issue and its relevance to many economic examples.

3 Cites in Articles

References

  1. Charles Breeden,William Hunter (1985). Tax Revenue and Tax Structure.
  2. J Buchanan,R Wagner (1977). Democracy in Deficit: The Political Legacy of Lord Keynes.
  3. R Chetty,Looney,K Kroft (2009). Salience and Taxation: Theory and Practice.

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

Amaresh Das. 2015. \u201cTax Perception and Sample Selection Bias: Microeconometrics\u201d. Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 15 (GJMBR Volume 15 Issue C5): .

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Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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GJMBR-C Classification: JEL Code: H29
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v1.2

Issue date

July 3, 2015

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English

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This paper econometrically compares the perceived marginal tax rates and the actually computed marginal tax rates and tries to find out if consumers could accurately perceive the marginal tax rates. Econometrically, the paper highlights that sample selectivity operates through unobservable elements and their correlation with unobservables influencing the variable of primary interest. Sample selection bias will not arise purely because of difference in observable characteristics. Although our paper is illustrative, it highlights the generality of the issue and its relevance to many economic examples.

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Tax Perception and Sample Selection Bias: Microeconometrics

Amaresh Das
Amaresh Das University of New Orleans
Adnan Omar
Adnan Omar

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